Category Archives: Brokerage

How Rogers Behavioral Health serves thousands around the country

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Rogers Behavioral Health was founded more than 110 years ago by Dr. Arthur Rogers, a mental health pioneer committed to providing quality healthcare for those suffering from mental illness. One of the country’s largest independent behavioral health systems today, Rogers has expanded nationally beyond its main hospital in Oconomowoc, Wisconsin, now annually serving more than 16,000 adults, teens and children across the system. With an eye on pursuing more strategic, data-driven expansion, Rogers connected with our team in summer 2017.

Click below for our Project Profile on Rogers Behavioral Health, an organization that provides thousands of people a place to turn when struggling with mental illness or addiction.

Rogers Behavioral Health

Armed with our proprietary portfolio analytics tool, demographic data and a firm grasp of their business, we caught Rogers’ attention and began building a relationship as the health system’s single source of real estate expertise.
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Will robots overtake humans? The Changing Landscape of Industry 4.0

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changing landscape

Welcome to episode 15 of Real Time, JLL Chicago’s industrial podcast. In this special post-event episode, the team recaps JLL Chicago Industrial’s recent client event, “The Changing Landscape of Chicago Industrial Real Estate,” held at Chicago’s first innovation center for physical product development and manufacturing, mHUB. Prognosticating on the future of supply chain, our all-star panel of industrial pros included:

Hosted by: Industrial market research experts George Cutro and Chad Buch


Listen to this podcast with the player above or click here. Also be sure to read our event recap below.

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The doctor is in…the mall?

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As consumerization pushes health systems closer and closer to their patients, we’re seeing healthcare emerge as an opportune tenant for retail landlords with big box vacancies.

consumerization

JLL’s healthcare experts: Greg Gerber, Sarah Cogswell, Sylvia A. van Loveren and Scott Merz

“There’s been a big push by retail landlords to try and attract medical tenants to diversify their portfolios, many of which have been struggling to adapt to the changing nature of retail,” JLL Senior Vice President Sarah Cogswell said at a recent RE Journals’ event.

The challenge is catering to the specifics of healthcare tenants. Landlords are used to retailers that have their specs down to a science, a repeatable façade and the ability to take over a building and make it their own.… Read More

Retail therapy draws tenants to suburban Class A product

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Shopping on your lunch hour never gets old. Especially in the suburbs, where the live/work/play perks of urban density are in short supply. Suburban malls offer the opportunity to run errands during lunch, while also conveniently supporting a wide array of business amenities such as restaurants and event space for everyday meetings and larger corporate gatherings.

Across suburban Chicago, Class A office properties within a mile of a major mall are outperforming their competition in three out of four major suburban submarkets. While the area around Fashion Outlets of Chicago appears to be flagging, JLL Research attributes that to lack of concentrated Class A buildings surrounding the retail center and the size of nearby O’Hare airport.

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Where to snag Class A space at a $20 PSF discount

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Class A

Just in time for summer, we’re here with an office space discount you have to see to believe. In the last five years, the gap between top-tier downtown and suburban space has dramatically widened, creating interesting opportunities for occupiers looking for luxury.

Since 2012, Class A rents have increased just 3.2 percent in the suburbs, compared with more than 21.5 percent downtown. For even the smallest tenants, this represents six-figure savings that could be reallocated to other business priorities, from talent retention to technology upgrades.… Read More

Top 10: Finding quality labor during a workforce shortage

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At a recent NAIOP Chicago event, the topic wasn’t real estate; it was labor. February saw the highest monthly level of job creation since mid-2016 and unemployment sits at just 4.1 percent as skilled talent becomes increasingly difficult to recruit and retain.

labor

JLL’s Meredith O’Connor and Keith Stauber

“Job growth continues rapidly even with talent shortages and employment occurring faster than the labor force can expand,” said JLL Managing Director Keith Stauber, moderator. “These trends also mirror consumer confidence, which has been at its highest levels since 2000.”

Greater competition for labor has pushed occupiers to look at long-term workforce productivity and sustainability (including metrics like net migration and population growth) rather than short term affordability.

The NAIOP panel of experts featured JLL International Director Meredith O’Connor, Co-Chairman of JLL’s Headquarters Practice Group and a Business and Economic Incentives lead. Her top 10 takeaways:… Read More

Getting to know Meredith O’Connor

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Thanks to her innate talent, drive and uncompromising work ethic, Meredith O’Connor is without equal in the city. Her secret superpower? She’s a connector. By building relationships with likeminded and equally motivated individuals, no matter their career or industry specialization, she’s built a business to be reckoned with and lifelong friends along the way.

A key player in helping corporations uncover often overlooked business and economic incentives, Meredith’s work continues to change skylines and bolster economies across the country. Let’s take a look at how it all began.

Meredith O'Connor

Meredith and her family of seven

Career beginnings

Government was the perfect start for Meredith, doing great things for the city she grew up in and loves. After she got her MBA, she was promoted from sergeant at arms in the City Council into the Planning Department. Under the inspiring leadership of Mayor Daley and in partnership with a team passionate about economic development, she jump-started her career working on exciting projects from the ’96 Democratic National Convention to the 2016 Olympic bid.… Read More

Chicago 2025: In the shared economy, do you know who your customer is?

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Spoiler alert. In the shared economy, everyone’s customer is the end user. The knowledge worker, the talent, the Millennials, whatever you want to call it. At Chicago 2025, JLL Chicago’s marquee event held earlier this month, we heard from some of the industry’s top thought leaders on how they’re navigating the shared economy’s major changes to the way we operate.

shared economy

Panelists John Gavin, Andrea Zopp and Chris Kelly

The No. 1 thing tenants talk about is talent, said World Business Chicago president and CEO Andrea Zopp, which is positive news for Chicago. We’re drawing college graduates at a higher rate than our comparable cities because people are looking for quality of life, affordability and a wide variety of housing options to evolve in an urban environment. And what talent wants is driving both major business decisions and major municipal ones, like Chicago’s investment in Divvy, our bike share program. All employers want is the ability to compete, and Chicago’s diverse economy, connectivity, access to transit, and quality of neighborhoods are all formidable tools for their arsenal. Expect forward-thinking initiatives like the planned express train to O’Hare to go a long way in attracting and retaining our major corporate occupiers.… Read More

Can the market stump JLL Chicago’s industrial experts?

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podcast anniversary

Welcome to Episode 14 of Real Time, JLL Chicago’s industrial podcast. In our one-year anniversary episode, the team fields questions from our valued listeners. The industrial market tried to stump our experts, but were they successful? Listen for a surprise special guest and our hosts’ answers to questions including:

  • What is the definition of infill?
  • What are you seeing in I-55 as far as demand versus current supply?
  • Is commercial property beginning to respond to changes in interest rates and values?
  • If you could put $100 million to work, which submarket would you pick and why?
  • What’s driving the uptick in leasing of 350,000 to 500,000-square-foot properties?

Thank you to all of our guests and listeners for a fantastic first season. It’s been a pleasure sharing our insight on one of the most exciting and active industrial markets in the country. We continue to learn so much from collaborating with all of you. Season Two is going to clear new heights!

Hosted by: Industrial market research experts George Cutro and Chad Buch

Listen to this podcast with the player above or click here.

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Q1 2018 Office Insight: A tale of two markets

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office insight

Q1 2018 stats for the Downtown Chicago office market

Two roads are diverging in Chicago, as evidenced by first quarter’s mind-boggling 35.2 percent spread between Class A and Class B asking rents downtown. While the triennial property tax assessment pushed landlords of choice properties to raise rents to record highs, they’re controlling the sticker shock with substantial concession packages.

Tenant improvement allowances are up by an average of 33 percent in the CBD over the past five years, something “that’s really moving the needle for tenant decision,” JLL Managing Director of Research Christian Beaudoin recently told Crain’s Chicago Business.

Construction costs rose 3 percent last year, there’s more than 7 million square feet of product under construction and landlords are competing aggressively to land tenants. These factors are fueling tenant demand for TI dollars, which will be applied toward building out creative, highly amenitized spaces in configurations ranging from traditional to progressive (like GGP at River North Point).

While financial services and law firms are shedding excess second generation Class A space, those vacancies continue to be offset by suburban relocations (including McGraw-Hill and AdTalem Education), particularly to the West Loop. Leasing activity has already reached more than 45 percent of last year’s total volume, a roaring start to the year bolstered by the urban migration trend.… Read More

Chicago 2025: The world will never move this slowly again

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Hundreds of industry leaders joined JLL Chicago to discuss Chicago 2025 and the shared economy. Transforming industries and challenging traditional business models, shared economy giants from Uber to WeWork have also become daily staples for all of us.

Chris Kelly

Chris Kelly, co-founder and president of Convene, a New York-based “workplace-as-a-service” platform and provider that expanded into Willis Tower last summer, kicked off the big event with a keynote. We’re on the cusp of a new paradigm, which will redefine the form and utility of office buildings. Seeing as office building design hasn’t changed since the turn of the century, the shared economy lifestyle is posing unique challenges for developers and owners alike.

The world will never move this slowly again. Knowing that two of the world’s largest economic forces, the shared economy and technology, have yet to make their mark on real estate’s dominant design, Chris shared some key predictions in building the office towers of the future:… Read More

Chicago industrial sees recommitments and really big portfolio sales in Q1

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industrial

Welcome to Episode 13.5 of Real Time, JLL Chicago’s industrial podcast. In this episode, the team previews the Chicago market’s first quarter industrial statistics, breaking down everything from vacancy and absorption to investment sales and construction deliveries. The highlights:

  • Existing occupiers like Home Depot, Clorox, RJW and Uline are expanding around the market
  • Blackstone and High Street grow their holdings through portfolio acquisitions.
  • Mid-range leasing velocity is robust, with 21 new leases between 100,000 and 500,000 square feet in the first quarter
  • Take notice of the two business park developments near O’Hare, a trend more typical of suburban greenfield markets

Keep your eyes peeled for a detailed submarket report in the coming weeks!

Hosted by: Industrial market research experts George Cutro and Chad Buch

Listen to this four-minute podcast with the player above or click here.

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How to boost rent by $7 p.s.f. and improve your golf swing

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Just six months after acquiring the 1970s-style Class B property at 222 South Riverside Plaza in 2014, ownership kicked off a transformational renovation with the close involvement of JLL’s agency leasing, project management and property management teams. The project has already experienced tremendous success and is poised to add value to ownership’s investment long after its 2017 completion.

Click below for our Project Profile on 222 South Riverside Plaza. The West Loop tower’s $50 million renovation was featured in the Chicago Tribune and continues to make a major impact on tenant renewals and rental rates.

222 South Riverside Plaza

In a strategic re-use of formerly obsolete space, the team chose the back of the lobby for the new tenant lounge, as the former ground-level retail was not a desirable location for a tenant. The multi-disciplinary JLL team played an integral role in shaping plans and facilitating efficient, clear communication around the specs and schedule of construction.… Read More

American Academy of Pediatrics’ new headquarters of the future

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Since the American Academy of Pediatrics’ headquarters opened more than 30 years ago, the organization has experienced unprecedented growth. Membership has grown by more than 250 percent to 66,000 members, and total staff has increased from 125 to 455 people. AAP tapped JLL in early 2014 to craft a strategic real estate plan for its new “headquarters of the future.”

Click below for our Project Profile on AAP,  an organization committed to the optimal physical, mental and social health and wellbeing for all infants, children, adolescents and young adults.

American Academy of Pediatrics

We explored expansion and restacking AAP’s existing Elk Grove Village building, purchase of a new building and a ground-up build-to-suit. After touring downtown and suburban sites, it became clear that a build-to-suit was the best choice for AAP’s unique needs. Hamilton Lakes Business Park in Itasca offered proximity to AAP’s valued employee base and future expandability.

As owner’s rep, we facilitated the acquisition of the land site, due diligence and entitlements, as well as the hiring of all project partners. The team worked through the approval process with the Village of Itasca regarding site layouts and engineering, traffic impact and local intersection improvements to help traffic flow.… Read More

mHUB CEO Haven Allen talks manufacturing innovation

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mHUB

Welcome to Episode 12 of Real Time, JLL Chicago’s industrial podcast. In the first half of this two-part episode, the team learns more about mHUB, Chicago’s first innovation center for physical product development and manufacturing. As mHUB approaches its one-year anniversary celebration in March, CEO Haven Allen reflects on:

  • Creating mHUB to cement Chicago’s status as an advanced manufacturing hub
  • Finding mHUB’s home in River West
  • Attracting and developing talent for Industry 4.0
  • Early success stories, like Fixer

Hosted by: Industrial market research experts George Cutro and Chad Buch


Listen to this podcast with the player above or click here.

Post to LinkedIn | Podcast archives | Subscribe

Recorded at: Coda Room Audio
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Why tech employers are freaking out about the Chicago market

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tech employment

While unlimited soup, salad and breadsticks is a universal truth at any Olive Garden, an unlimited supply of engineers is not a guarantee in a hot tech market like Silicon Valley. That’s why the most agile and bottom-line-minded tech firms have turned to Chicago to find their next tech talent, whether their need is a half dozen or several hundred of the best and brightest.

“We want to tap into the Chicago market. We’re excited about the tech talent there—the new grads, people returning home because it’s such a livable city,” Foursquare senior vice president of engineering Matt Kamen recently told Crain’s Chicago Business.

While Foursquare is starting to hire just a half-dozen engineers locally, enterprise demand for its location data underscores a high-growth and more diversified future for the New York-based business. Foursquare looked at other up-and-coming markets, from Toronto to Austin, but we can guess one big reason Chicago won—tempered wage growth.… Read More

This is what happens when office space imitates art

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Donna Mondi had a vision for her 16-year-old interior design firm—a new office and showroom that would bring her team under one roof and reflect their design sensibilities and expert capabilities. Her unexpected inspiration? The industrial chic office set from The Intern, a 2015 comedy starring Robert De Niro and Anne Hathaway.

Enter JLL. “I know that property,” said Christine Bower, Vice President on JLL’s Tenant Representation team.

Click below for our Project Profile on Donna Mondi Interior Design, creator of spaces that are edgy yet sophisticated, modern yet classic, sexy, dynamic and most of all— unpredictable.

Donna Mondi

It wasn’t in River North, where Donna originally wanted to be, and there was no Starbucks in sight (a necessity for Donna and her team). We encouraged Donna and her husband Dominick Mondi, President of Mesirow Financial, to take a look. They took a tour and fell in love. It wasn’t the center of Fulton Market, but it checked every other box.

Knowing the Mondis’ interest in acquiring an income-producing, value-add property, we quickly facilitated the sale for $1.8 million (fortuitously closing the day of the Cubs’ 2016 World Series win). Built in the 1890s, the West Town light- industrial building was a former furniture factory. Donna invested $350,000 to convert the first floor into her company’s new home. The second floor will soon become available for the first time in 20 years, allowing for additional income generation. The space is perfect for a creative tenant craving high ceilings, hardwood floors, original skylights and huge windows.

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This office will make you drop everything and move to the suburbs

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The suburban office market is changing in response to two notable trends. While many corporate users have vacated their longtime campuses for the allure of the live/work/play life downtown, others are recommitting to the suburbs and collaborating with creative landlords.

Click below for our Project Profile on Innovation Park, Lake County, where industry meets inspiration.

Innovation Park

When office park innovator BECO Management acquired the former Motorola Mobility campus in Libertyville in 2014, it fused both trends, creating an urban environment within a suburban landscape. After buying at a low basis and kicking off a large-scale redevelopment, the D.C.-based investor recently chose JLL to market Innovation Park, Lake County.

BECO built it, and we’re making sure they come. As dozens of brokers tour the property each month, the most common reaction is “I had no idea.” With services from meals to daycare and fitness to laundry, employees never have to leave. The productivity implications are profound. Nowhere else can your day include an on-site massage, team bonding in the game room and soaking up sun on the bike path. We’re telling a singular story, and two major tenants have already signed on: Valent Biosciences (98,000 s.f.) and Brightstar (65,000 s.f.).

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Commuting in the suburbs: A SWOT analysis

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In a market as large as suburban Chicago, getting to work can be around the corner or a major undertaking. Our Research team recently completed a suburban SWOT analysis, determining the top three modes of transportation used to get to the office in each submarket. Roll over each submarket below for the details.

Strength: Public transit

Public transportation, from the L to the Metra, has been a boon to several… Read More

Culture commandments from Google, Paylocity, ABT and Andigo

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“Culture eats strategy for breakfast.” –Peter Drucker

As the nature of work continues to change dramatically, the technology available to us, services we offer our employees and the spaces we create are evolving as well. A focus on experiences is driving the future of workplace culture, which was the topic of conversation last week at the Schaumburg Business Association’s Commercial Real Estate Summit – The Future of Work.

Our own Senior Vice President Mark Kolar and National Workplace Consulting lead Ed Nolan hosted a panel of workplace experts from both established and rapidly growing buzzworthy brands: Google HR Business Manager Jacky Schiestel; Paylocity VP of Human Resources Jay Schedler; ABT Electronics Co-President Mike Abt; and Andigo COO Jean Theis. Enjoy their culture commandments as inspiration to make bold changes in your own workplace.

culture

JLL’s Adam Pines and Mark Kolar; ABT’s Mike Abt; Andigo’s Jean Theis; Paylocity’s Jay Schedler; JLL’s Ed Nolan; SBA’s Kaili Harding; and Google’s Jacky Schiestel

Just say yes

ABT doesn’t have an employee manual, but for more than 80 years and three generations, the founding family has been instilling a culture of “yes.” Employees quickly learn to take on any reasonable request from a customer, which infuses the store with positive energy and optimism.… Read More